Senate Bill 16 calls for simplifying the system by replacing Illinois’ complicated and multi-faceted funding formula with a simple, weighted approach.

The new formula would distribute funds more equally based on individual school districts’ need and their ability to generate funds through property taxes. Districts with limited local resources would rely less on local money and more on state money, while wealthier districts would rely more on local revenue sources and less on the state.

Bunker Hill Democratic Sen. Andy Manar, the bill’s sponsor, wouldn’t say which school districts would get more money and which would get less under the new formula because the proposal focuses only on how education funds are delivered.

He said the State Board of Education, and not the Senate, has the “statutory responsibility” to calculate actual dollar amounts.

“Who are the winners and losers in this scenario? It’s a bit disingenuous for any of us to stand here today and pretend anyone is winning today,” Manar said. “The idea that we can have a few premier school districts in the state that exceed every expectation and have an incredible number that lag behind and call that a win as a state system is not a win in my book.”

The legislation additionally calls for elimination of the Chicago Block Grant, which totaled $477 million last year and is not subject to many of the mandates all other schools in Illinois are. Instead, Chicago schools would receive state funds through the new formula.

Asked whether Chicago Public Schools were supportive of the proposal even though it calls for elimination of the grant, Sen. Kimberly Lightford, D-Maywood, said they weren’t opposed.

“That is what we find to be really unique in that they recognize that there are other areas that will balance out for them in terms of greatest need. I was surprised to find out that they were understanding of eliminating the block grant and that they were actually in support of a better system,” Lightford said.

She said the new system wouldn’t pit Chicago schools against suburban and downstate schools, that everyone would win, and “the loser concept will fade away.”

“Illinois has the second-most inequitable school funding system in the nation,” he said, citing findings from a Rutgers University study. “Our current funding system is doing a disservice to taxpayers, school districts and, most importantly, our children.”

According to Manar, the current funding formula distributes only 44 cents of every education dollar based on district need. He said under that regressive-style system, poor districts that rely heavily on local resources have to tax their residents at higher rates.

Page 2 of 2 - Manar said he was moved by a summary written by the State Board of Education stating that school districts with lower tax rates spend more per pupil on education, and those with higher tax rates spend less.

“That’s an inverse relationship. That’s contrary to what most people, including myself, assumed,” he said. “That, to me, is empirical evidence that the system is broken.”

The proposed overhaul aims to make the system more progressive, estimating that 92 cents of each education dollar would be distributed based on district need under the new formula. The rest of the funds would be set aside for special education and early-childhood education programs as well as construction projects.

The legislation was crafted following recommendations from the Education Funding Advisory Committee, created last July to find a way to improve the way the state distributes money to schools.

Manar said the EFAC hearings “were so bipartisan they were almost nonpartisan,” but no Republicans attended Wednesday’s news conference.

Lightford said GOP input was reflected in the drafted legislation and welcomed their further participation.

But according to Senate Republican spokeswoman Patty Schuh, Republicans “were not invited to join Sen. Manar’s press conference. We did not receive the 400-page bill before it was filed (Tuesday) night,” she wrote in an email.

Schuh said Senate Republicans have “dozens of questions and comments to contribute to the discussion” and hopes “educators, superintendents, school boards and other education professionals have that opportunity as well.”

Manar said Senate President John Cullerton, D-Chicago, is supportive of the proposal but was unsure whether House Speaker Michael Madigan, also a Chicago Democrat, was in favor.

The bill has until April 10 to get out of the Senate for consideration in the House.